Once again the words that dominate the Fed Beige Book are those of underwhelming medicority:
- *FED SAYS `MODERATE' GROWTH IN U.S. WAS LED BY HOUSING, AUTOS
- *FED SAYS U.S. CONSUMER SPENDING `GREW MODESTLY'
- *FED SAYS `PRICE PRESSURES REMAINED MOSTLY SUBDUED'
- *FED SAYS `EMPLOYMENT CONDITIONS REMAINED UNCHANGED OR IMPROVED'
It seems even the Fed is forced to admit that what little 'growth' there is in the US is that funded by zero-cost Federal debt: Housing and Autos. After a few trillion dollars and with stocks at all-time highs, the deafening roar of animal spirits remains subdued... which must mean we need moar... The market's reaction is nothing - reflecting the value of the report's content.
Full Beige Book (pdf) here [3].